Share the post "Tata Investment Corporation : Q1 2024 Financial Quarterly Report : YoY Sales Down 6.03 %, QoQ Up 149.45 %"
Highlights
- The presented financial data is Consolidated to provide a comprehensive overview of the company performance.
- Sales over the Year and quarter: The company’s sales declined by -6.03 % over the year, substantial increase in net sales/revenue by 149.45 %.
- Income over the Year and quarter: There has been either a marginal increase or a decline in other income over the past year which is 180.77 %. Marginal increase in other income during this quarter, up by 108.57%.
- Profit over the Year and quarter: Challenges in sustaining profitability for Tata Investment Corporation Limited. Profit dropped by -11.28 % Year to Year, Tata Investment Corporation Limited’s profitability increased by 116.75 % in this quarter.
- EPS over the Year and quarter: EPS declined by -10.72 % Year to Year. EPS increased by 116.82 % in previous quarter. Positive impact on shareholders.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 151.6 Cr | Rs. 57.11 Cr | Rs. 142.46 Cr | + 149.45 % | -6.03 % |
| Expenses | Rs. 8.66 Cr | Rs. 7.82 Cr | Rs. 11.52 Cr | + 47.31 % | + 33.03 % |
| Operating Profit | Rs. 142.94 Cr | Rs. 49.29 Cr | Rs. 130.94 Cr | + 165.65 % | -8.4 % |
| OPM % | 94.29 % | 86.31 % | 91.91 % | + 5.6 % | -2.38 % |
| Other Income | Rs. 0.26 Cr | Rs. 0.35 Cr | Rs. 0.73 Cr | + 108.57 % | + 180.77 % |
| Interest | Rs. 5.17 Cr | Rs. 0.02 Cr | Rs. 0.02 Cr | + 0 % | -99.61 % |
| Depreciation | Rs. 0.23 Cr | Rs. 0.24 Cr | Rs. 0.23 Cr | -4.17 % | + 0 % |
| Profit before tax | Rs. 137.8 Cr | Rs. 49.38 Cr | Rs. 131.42 Cr | + 166.14 % | -4.63 % |
| Tax % | 2.92 % | 23.77 % | 18.75 % | -5.02 % | + 15.83 % |
| Net Profit | Rs. 147.74 Cr | Rs. 60.47 Cr | Rs. 131.07 Cr | + 116.75 % | -11.28 % |
| EPS in Rs | Rs. 29.02 | Rs. 11.95 | Rs. 25.91 | + 116.82 % | -10.72 % |
Today, we’re looking at Tata Investment Corporation Limited’s financial performance for the Q1(Jun 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -6.03 %. However, it did see a marginal increase of 149.45 % from the previous quarter. Expenses ticked up slightly by 47.31 % quarter-on-quarter, aligning with the annual rise of 33.03 %. Operating profit, while down -8.4 % compared to last year, faced a quarter-on-quarter increase of 165.65 %, signaling a short-term expansion in margins.
The Operating Profit Margin (OPM) % contradicts this narrative, showing weakness on an annual basis with a decrease of -2.38 %, but an expansion of 5.6 % sequentially. Other income rose by 108.57 % compared to the last quarter, despite an annual growth of 180.77 %. Interest expenses surged remarkably by 0 % from the previous quarter, yet the year-over-year decrease remains at a moderate -99.61 %. Depreciation costs fell by -4.17 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 0 %. Profit before tax declined annually by -4.63 % but saw an increase from the preceding quarter by 166.14 %.
Tax expenses as a percentage of profits increased slightly by 15.83 % compared to last year, with a more notable quarter-on-quarter decrease of -5.02 %. Net profit fell by -11.28 % year-on-year but experienced a 116.75 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -10.72 % but a quarterly rise of 116.82 %. In summary, Tata Investment Corporation Limited’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 151.6 Cr | Rs. 57.11 Cr | Rs. 142.46 Cr | + 149.45 % | -6.03 % |
| Expenses | Rs. 8.66 Cr | Rs. 7.82 Cr | Rs. 11.52 Cr | + 47.31 % | + 33.03 % |
| Operating Profit | Rs. 142.94 Cr | Rs. 49.29 Cr | Rs. 130.94 Cr | + 165.65 % | -8.4 % |
| Net Profit | Rs. 147.74 Cr | Rs. 60.47 Cr | Rs. 131.07 Cr | + 116.75 % | -11.28 % |
| EPS in Rs | Rs. 29.02 | Rs. 11.95 | Rs. 25.91 | + 116.82 % | -10.72 % |
In reviewing Tata Investment Corporation Limited’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -6.03 % year-on-year, however, there was a minor increase of 149.45 % from the previous quarter. Expenses rose by 33.03 % compared to the previous year, with a 47.31 % increase quarter-on-quarter. Operating Profit dropped by -8.4 % annually, and saw a 165.65 % increase from the last quarter.
Net Profit showed yearly decrease of -11.28 %, and experienced a 116.75 % increase from the previous quarter. Earnings Per Share (EPS) fell by -10.72 % annually, however rose by 116.82 % compared to the last quarter. In essence, while Tata Investment Corporation Limited faces strong annual decline indicators, short-term improvements suggest the potential for recovery and the importance of strategic adjustments to counter market challenges effectively. That’s all for now in the financial sector.
6
3-Year Profit
17
5-Year Profit
16
10-Year Profit
4,328
Current Price
48,293
Market Cap
The company associated with BSE code 500495 presents a financial narrative of mixed fortunes. Over a five-year period, the company achieved a profit of 17 units, which subsequently rose to 6 units over the three years that followed. Yet, despite this initial growth, the company now faces a troubling trailing twelve-month (TTM) profit loss of 29 units. What’s particularly striking is the company’s complete absence of reported sales across all analyzed periods, which brings into question the viability of its revenue generation strategies and long-term business sustainability. Moreover, stock prices have been highly volatile, reflecting the company’s uncertain future. While the stock was valued at 49 units over the last five years, it has recently dropped to 36 units, underscoring a rapid decline in market confidence. Over the longer ten-year period, the stock price was at 40 units, illustrating a pattern of fluctuating performance that could pose risks for potential investors.
The company has a market capitalization of ₹48,293 crore and is currently trading at ₹4,328 per share. Historically, the stock has fluctuated within a range of ₹4,422 / 2,647, reflecting both the opportunities and risks that investors perceive in the company. The P/E ratio, at 45.9, is relatively high, suggesting that the market has priced in substantial future growth or is willing to pay a premium for the company’s current earnings. The book value per share stands at ₹830, which reflects the net asset value of the company divided by the number of outstanding shares. The dividend yield is 0.42%, providing shareholders with a consistent return on their investment. ROCE is 16.1%, indicating how well the company is using its capital to generate profits, while ROE at 12.0% highlights the returns generated from shareholders' equity. The debt-to-equity ratio is 0.01, signaling low financial leverage, which is typically seen as a positive indicator of financial health. However, the company’s negative net cash flow of ₹27.6 crore might raise concerns about its cash generation capabilities or capital expenditures. With a Piotroski score of 8.00, the company's financial stability is evaluated on several factors. Finally, the Graham Number, at ₹1,334, provides an estimate of the stock’s intrinsic value, while the Price-to-Book (P/B) ratio of 5.21 highlights that the stock is trading at a premium to its book value, potentially reflecting positive market sentiment or overvaluation risks.
